Labour policies under examination

A warning Labour’s plans to ban the sale of property to foreign investors could put our trade agreements in jeopardy.

The New Zealand Institute of Economic Research said under the trade agreement we have with Korea and China, it’s not possible to ban foreigners buying homes here.

Deputy Chief Executive John Ballingall said it would be a breech of our free trade agreement obligations.

“This creates a bit of a challenge, unless Labour is suggesting that they are going to renegotiate some of these agreements to allow us to impose such a ban, which seems unlikely, then it seems a very difficult policy to try and implement.”

There is a strong mood for change among the 118 respondents to the Herald‘s Mood of the Boardroom Election Survey.

Some 88 per cent see Ardern as the lightning rod which could catapult Labour to power at the September 23 election. But their appetite for regime change is tempered by Labour’s failure to be upfront about its intentions on major polices affecting business, like capital gains.

With less than a fortnight to run before final polls close, chief executives remain divided on whether to “call time” on the third term National Government.

That doesn’t sound like a strong mood for change.

“Labour’s got to seriously think about some of the policy that they are bringing to the table,” said Mainfreight group managing director Don Braid. “As long as that’s not thought up on the fly and has had some decent thought behind it before they release it, then she’s definitely got this current Government on the run in my view.”

Ardern does seem to have National on the run – and also the greens and NZ First. But now more attention is being put on her policy positions that may temper the excitement.

But Ardern’s propensity to make “Captain’s calls” on important matters like capital gains taxes are a major negative. “Now is not a time for experimenting with a Labour Party coalition whose policies are unchanged and its leadership has devolved on a doctrinaire and inexperienced political activist with no real world experience,” said a law firm boss.

Tax and the economy will be key deciders in this election, and many voters will be still considering and deciding.

27 Comments

NOEL

When they negotiated the China FTA the Chinese wanted to employ their own workers at their rates of pay. Train engineers and Manderin speakers only need apply was some of the ways the got around our refusal.
By all means renegotiate. Got enough profit gouging 2 dollar shops.

Blazer

scaremongering b/s…’ warning Labour’s plans to ban the sale of property to foreign investors could put our trade agreements in jeopardy.’….desperate stuff,but typical of the neo liberals who do not have much regard for independent .sovereign rights .

High Flying Duck

Bloody facts – keep getting in the way of the Labour agenda.
Free trade agreements are but a minor speed bump.
But don’t worry Blazer, Jacinda can probably get away with another fortnight of deflection and avoiding having to provide an actual detail on any of their policies.
You’re almost in the Nirvana of Jacindaland, where everything is magically fixed with extra taxes only paid paid by people other than you…

Blazer

As you know Wall St(the banks)always get bailed out by taxpayers money ,rather than Mainstreet(the ordinary worker).No matter how many times the right regurgitate their meaningless cliches, the reality stays the same.Why would the TPPA be termed a trade agreement…Trans Pacific Partnership.Very little about trade,very little benefit for NZ,very great benefit for large Corporations.

High Flying Duck

Non-sequitur…again.
If you want to turn Jacinda’s lack of policy detail and defelction of any and all questions on that subject into a rail against Wall Street, be my guest, but try to stay on topic at least a little…
Jacinda has apparently said she wants to renegotiate the Korean trade deal (worth over $4B per annum) because it stops her plans – as does the Singapore, Australian and other trade deals.http://www.scoop.co.nz/stories/PA1709/S00129/labour-confirms-korean-trade-deal-at-risk.htm

Blazer

doesn’t mention the issue!If it is selling off NZ to foreigners with no restrictions….not a problem.Koreans and other Asian nations respect that position….because they ban foreigners from doing that in their own countries.So just another exaggeration,lacking substance.

Blazer

@HFD…do behave !How can it directly refer to foreign buyers when the issue is not even mentioned in the article?Probably one of the silliest statements I’ve read on this forum and you even doubled down on it with a personal aside.Must be getting very ruffled as E day approaches.

High Flying Duck

I think Jacinda will be PM. I don’t think that’s great for the country, but you get what the country votes for. I’m ambivalent.
The article is exactly what I said it was – a reaction to Labour’s Foreign Buyer policy. You disputing that and calling it silly doesn’t make it any less true – perhaps if you stamp you feet things things will be different?

“Labour is unclear how it will fund a $5 billion plan for modern trams in Auckland, but says Auckland Council will shoulder a “significant” share of the cost.

Labour’s Auckland Issues spokesman Phil Twyford today said he did not know how the costs will be shared between the Government and Auckland Council, except to say council will not pay the majority.

Twyford also did not know whether modern trams, also known as light rail, will sit on the Government or Auckland Council’s balance sheet.”

“Twyford said Labour would change the mix and priorities of projects in the city’s 10-year transport plan and spend an extra $2.1b. The overall plan would cost $15b, including the light rail projects to the airport and West Auckland, and had a $6b funding gap, he said.”

Can only end in tears.

High Flying Duck

Blazer

I did like this…’The fact that we are one of the few countries without a capital gains tax is not, in itself, good reason to adopt one.’….but the fact remains ,that when it suits constant comparisons are made with other O.E.C.D countries.Without knowing exactly the detail of a CGT the authors conclusions are…worthless.

Blazer

Blazer

you shot yourself in that engagement….’@Andrew…you said…’Nowhere in that linked page do they call it a “Capital Gains Tax”.
-‘Government has introduced the “Bright-line” test (“BLT”) for taxing capital gains made on the sale of residential property.’…the word income is not mentioned in that.’

chrism56

That is only 15 Blazer and most are fees for service,not taxes. If you don’t know the difference, you could be the Labour Minister of Finance.
The RUC was because National accepted the recommendations of a committee set up by the last Labour Ministry of Transport. They also lowered a lot of the charges. It on the NZTA website The ACC levies are now lower than in 2008. There is a lot missing from your other fees as well.